Florida-based, Chatham Lodging Trust (NYSE: CLDT), a hotel REIT focused on investing in upscale extended-stay hotels and premium-branded, select-service hotels, has completed the acquisition of a 52-hotel, 6,976-room portfolio from Inland American (Inland). The combined total purchase price was approximately $1.1 billion, before deal costs and funding of escrows.

A joint venture comprised of Chatham and NorthStar Realty Finance Corp (NYSE: NRF) acquired the two Marriott hotels at William Center in Tucson as part of the 52-hotel portfolio sale for a purchase price of $27.1 million, or approximately $99k per room, before deal costs.

The hotels in Tucson were:

• >> 120-room Residence Inn by Marriott at 5400 E Williams Circle for $14.7 million; and the
• >> 153-room Courtyard by Marriott at 201 S Williams Blvd for $12.4 million

The remaining 50 upscale extended-stay hotels and premium-branded, select-service hotels were purchased by the joint venture   for a purchase price of $973 million before deal costs and funding of escrows, or $145k per room for the 6,703 remaining rooms. NorthStar owns a 90% ownership interest in the joint venture, and Chatham owns a 10% interest. Chatham acquired its 10% equity interest in the joint venture for approximately $28 million.

“These top-tier branded hotels expand our presence in some of the country’s best hotel markets and match our strategy of targeting specific high growth markets based on growing corporate demand tied to the technology, medical and oil and gas industries,” said Jeffrey H. Fisher, Chatham’s chief executive officer and president. “Given our confidence in the health of the hotel industry, we will continue to be net buyers of high-quality hotels.”

Chatham financed the investments with available cash and borrowings under its revolving credit facility of $69 million. In late September, Chatham issued 6.9 million common shares, generating net proceeds of approximately $144.6 million, which was used at the time to repay any borrowings outstanding on its revolving credit facility.

Chatham wholly-owns four of the 52 hotels and 38 of the 48 hotels owned by the joint venture will be managed by Island Hospitality Management (ISH), a hotel management company that currently is 90% owned by Fisher.

Chatham Lodging Trust as a self-advised REIT owns interests in 130 hotels totaling 17,858 rooms/suites, comprised of 34 hotels it wholly owns with an aggregate of 5,115 rooms/suites in 15 states and the District of Columbia and a minority investment in three joint ventures that own 96 hotels with an aggregate of 12,743 rooms/suites.

To learn more about Chatham go to www.chathamlodgingtrust.com.

Florida-based, National Retail Properties, LP, a private REIT, purchased the 1,625-square-foot gas station on 16,116-square-foot lot at 5465 East Broadway Blvd in Tucson for $850,000. Located at the northwest corner of Broadway & Craycroft, the site is rumored, to have been purchased for construction of a Select Comfort store, a relocation from the Park Place Mall.

Minneapolis-based Select Comfort, founded in 1987, has the firm’s line of Sleep Number beds, which carry hefty price tags, using air-chamber technology to allow sleepers to adjust the firmness on each side of the mattress, and provide better sleep quality to sleep-related problems, such as lower back pain. Select Comfort stores also offer foundations, frames, pillows, and sofa beds. A leading bedding retailer in the US, Select Comfort operates more than 425 company-owned stores in 45 states.

National Retail Properties was formed in October 1984, organized as a real estate investment trust called Golden Corral Realty Corporation. The owners of the Golden Corral restaurant chain wanted a way to reward their employees with stock and creating a REIT was their best way to do this.

National Retail Properties, the self-administered real estate investment trust (REIT) acquires, develops, and manages freestanding retail properties in heavily traveled commercial and residential areas. Its portfolio includes about 1,800 properties totaling more than 20 million-square-feet of leasable space in nearly all 50 states, concentrated in the Southeast, the Midwest, and Texas. National Retail Properties also invests in mortgages, operates the retail businesses on some of its sites, and develops properties with the intention of selling them for a profit. Convenience stores make up around 20% of its portfolio.

Thomas English with Thomas English Retail Real Estate of Indianapolis, IN represented the buyer and Robert Nolan of Oxford Realty Advisors in Tucson represented the seller, Maqsood & Sabina Enterprises (Maqsood Ahmad, Manager) of Tucson.

To learn more Ahmad can be reached at 520.577.1918, contact for National Retail Properties is Kevin Habicht, CFO who can be contacted at 407.265.7348. English should be reached at 317.574.7448 and Nolan is at 520.232.0200 x118.

Hub On Campus Tucson is bringing more high-rise living to University of Arizona students with an additional Phase 2 of the Hub that will tentatively add 325 more residents in a new 6-story building next to the current Hub.Core Campus Tucson II LLL, an affiliate of Chicago-based Core Campus, completed the purchase of 1021-1023 and 1037 North Tyndall Avenue from the City of Tucson for a second student housing building and a purchase price of $1.5 million for a 36,575-square-feet of lot with 5,454-square-foot building, purchased solely for land value.

The newly acquired property is to be redeveloped for construction of the 6-story building, not to exceed 84’ in height adjacent to Hub On Campus Tucson Phase 1 that was completed in August 2014 and is home to 594 residents in 163 units. The Phase 1, 12-story high-rise at 1011 North Tyndall Avenue, boasts a rooftop deck and infinity edge pool to elevate the lifestyle of Tucson students.

As a condition of the sale with the seller, City of Tucson, Core Campus was required to relocate DIRECT Center for Independence, the tenant at 1023 N Tyndall Avenue. Core purchased the 8,045-square-foot building at 1001 N Alvernon Way in Tucson to accommodate DIRECT, for $1.45 million as published May 1, 2014 in Real Estate Daily News.

Debbie Heslop, CCIM, of Volk Company represented Core Campus in both transactions.  John Ash of CBRE Tucson was the tenant representative for DIRECT.

Core has since completed tenant improvements at the Alvernon building and DIRECT is scheduled to move this week. Core can then proceed with construction on the new Tyndall tower, once plans are finalized.

To learn more Heslop should be contacted at 520.326.3200.